The U.S. spent billions on a system for detecting hacks. The Russians outsmarted it.

The Russians, whose operation was discovered this month by a cybersecurity firm that they hacked, were good. After initiating the hacks by corrupting patches of widely used network monitoring software, the hackers hid well, wiped away their tracks and communicated through IP addresses in the United States rather than ones in, say, Moscow to minimize suspicions.

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The hackers also shrewdly used novel bits of malicious code that apparently evaded the U.S. government’s multibillion-dollar detection system, Einstein, which focuses on finding new uses of known malware and also detecting connections to parts of the Internet used in previous hacks.

But Einstein, operated by the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency (CISA), was not equipped to find novel malware or Internet connections, despite a 2018 report from the Government Accountability Office suggesting that building such capability might be a wise investment. Some private cybersecurity firms do this type of “hunting” for suspicious communications — maybe an IP address to which a server has never before connected — but Einstein doesn’t.

“It’s fair to say that Einstein wasn’t designed properly,” said Thomas Bossert, a top cybersecurity official in both the George W. Bush and Trump administrations. “But that’s a management failure.”

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